s

STATE DOCU^IENTS

ANNUAL REPORT

OF THE

DEPARTMENT OF AGRICULTURE

TO THE

GOVERNOR OF MONTANA

HONORABLE FOREEST H, ANDERSON

FOR THE

FISCAL YEAR ENDED

JUNE 30, 1971

MOTJTA^'A C:^"3TITUTI0NAL
CONVENTION

\!0V 9 1983

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The Honorable Forrest H. Anderson

Governor

State of Montana

Helena, Montana 59601

Dear Governor Anderson:

In accordance with the requirements of Sections 82-4002, R.C.M.
1947, there is herewith transmitted to you the report of the Department
of Agriculture covering the fiscal year ending June 30, 1971.

Major Accomplishments during the year included:

* Cash receipts from Agricultural Marketing and Government
Programs amounted to slightly over $640,000,000; this gave
Montana a great boost economically and provided many jobs.

* Better public relations was obtained by bringing agriculture
and agri-business closer to the public through cooperative
meetings, communications and greater understanding of public
needs.

* The department aided in seeking more equitable soil conserv-
ing base acreages for Montana.

* Sought and brought about lower freight rates in Montana
through research and publishment of a manual "Modes and
Direction of Montana Grain Shipments."

Recommendations to achieve objectives are:

* Enlarge marketing functions and exert greater efforts to
maximize farm marketing orders for greater returns to Montana
farmers and ranchers.

* Centralize within the department, administration of regu-
latory controls and services, in order to reduce costs and
increase efficiency through assignment of authority and
accountability.

* Secure legislation to revise out-dated laws and amend
existing laws in order to serve the public through better
regulated services.

RespectSCM-ly submitted.

George LacT<man, Commissioner
Department of Agriculture.

TABLE OF CONTENTS

TABLE OF CONTENTS.

PRINCIPAL OFFICES AND OFFICERS,

LEGAL REFERENCES 2 .

PRINCIPAL GOALS 3 .

MAJOR ACCOMPLISHMENTS 4.

MAJOR RECOMMENDATIONS 5 .

PROGRAM DESCRIPTIONS 6 .

PROGRAM COST - SUMMARY AND DETAIL 15.

Page 1.

DEPARTMENT OF AGRICULTURE

PRINCIPAL ADMINISTRATIVE OFFICERS

GEORGE LACKMAN
CHARLES R. MEYER
CATO BUTLER
ELDON R. FASTRUP

THOMAS F. LOFTHOUSE, CHIEF
GARY L. DELANO, CHIEF

BURTON E. GINTHER, CHIEF

GERALD N. KAISER, CHIEF

GEORGE F. ANGERMEIER, CHIEF
ROBERT BRASTRUP, EXEC-SEC.

GEORGE SCHNELLER, EXEC-SEC.

COMMISSIONER OF AGRICULTURE-ADM
ADMINISTRATIVE OFFICER -ADM
OPERATIONS COORD INATOR-ADM
MARKETING COORDINATOR-ADM

DAIRY AND EGG DIVISION
liJEIGHTS AND MEASURES DIVISION

COMMERCIAL FEED & FERTILIZER

HORTICULTURE & QUARANTINE SERVICE

MONTANA GRAIN LABORATORY

MONTANA WHEAT RESEARCH & MARKETING

MONTANA REAL ESTATE COMMISSION

PRINCIPAL OFFICES

STATE CAPITOL BUILDING -ANNEX

MITCHELL BUILDING

MONTANA STATE UNIVERSITY

P. 0. BOX 1285

1ST NAT. BANK BLDG & GRAIN LAB

502 LAMBORN AVENUE

HELENA, MONTANA
HELENA, MONTANA
BOZEMAN, MONTANA
MISSOULA, MONTANA
GREAT FALLS, MONTANA
HELENA, MONTANA

*Wheat Research & Marketing Committee

Harold C. Nelson, Chairman
704 3rd Street S.E.

V. J. Thuesen
Post Office Box

George Skarda
Box 1022

Norris Hanford
Post Office Box

Glenn Moore
Post Office Box

Lloyd Mosdal
Post Office Box

Jack E. Lang

20 South 4th St. E.

Ex-Officio Members:

e Term

Page 1
(cont)

8/20/67-8/20/72

Cut Bank

8/20/67-8/20/71

Dagmar

8/20/67-8/20/74

Denton

8/20/67-8/20/73

Fort Benton

8/20/67-8/20/75

Willard

8/20/67-8/20/71

Rapelje

8/20/67-8/20/72

Malta

George Lackman, Commissioner of Agriculture
Capitol Annex Building

Dr. J. A. Asleson, Dean of Agriculture
Montana State University

Oliver Thorvilson, Peavey Company
Box 1528

Helena

Bozeman

Great Falls

* Real Estate Commission Term

George Lackman, Chairman
2023 8th Avenue

James Burgess
305 East Front

Frank Grady
110 East Front

Arthur W. Dickhoff

Great Falls National Bank

Curtiss Phipps

804 Broadwater Ave.

4/1/69-3/31/73

3/18/70-3/17/74
3/18/68-3/17/72
3/18/69-3/17/73
3/18/67-3/17/75

Helena

Butte

Missoula

Great Falls

Billings

Page 2.
LEGAL REFERENCES

The Constitution, in Section 1, Article XVIII, provides for the
Department of Agriculture. This department is under the control of the
Commissioner of Agriculture, who is appointed by the Governor, Subject
to the confirmation of the Senate, for a term of four years. The purpose
of the Department of Agriculture is to encourage and promote the inter-
ests of agriculture and allied industries in Montana. The duties and
powers of this department are enumerated in Section 3-107, R.C.M. 1947.

ADMINISTRATION - The Administration Program is responsible for
the coordination of all the activities carried on in the department.
This includes fiscal and accounting services for the entire department,
and compilation and distribution of agricultural Information. The admin-
istration of the Rural Rehab Trust Assets (Section 3-2801, 3-2803, R.C.M.
1947) is also a function of the Administration Program. This program is
financed by General Fund appropriation.

Agricultural Statistics - Agricultural Statistics is a cooperative
program carried on by the Montana Department of Agriculture and the U.S.
Department of Agriculture. The purpose is to prepare county estimates of
all crop and livestock items produced in Montana. The information is then
published and distributed in bulletin form. Funding for this program is
derived from General Fund appropriations and matching monies from the
Federal Government.

COMMERCIAL FEED & FERTILIZER - This program, under the direction
of the Commissioner of Agriculture, administers the Commercial Feed and
Fertilizer Laws (Section 3-1701 through 3-1728 and 3-2001 through 3-2024,
R.C.M, 1947). These laws provide for the registration, analyzation, and
labeling of commercial feeds and fertilizers distributed in the State of
Montana. The program is supported by the appropriations of fees collected
for the administration of this program. The fees collected are deposited
into the Earmarked Revenue Fund.

DAIRY DIVISION - The Dairy Division is responsible for the regula-
tion and sanitary inspections af all creameries, butter and cheese fact-
ories, milk and cream receiving stations, and frozen dessert factories.
This division enforces laws regulating the standards of all manufactured
dairy products, except whole milk, skim milk and condensed or evaporated
milk (Sections 3-2401 through 3-2403, R.C.M. 1947). The Dairy Division
is also responsible for the enforcement of the Egg Grading Law (Section
3-2301, R.C.M. 1947) and the Oleomargine Law (Section 27-501, R.C.M. 1947).
Appropriations for the dairy operations are obtained from the General Fund.

GRAIN LABORATORIES - The Grain Laboratories provide grain grading,
protein testing, sedimentary value and official weighing services for
the grain industry, in accordance with Chapter 2, Title 3 R.C.M. 1947.
The program is carried out in two laboratories located in Great Falls,
and Bozeman. Mustard seed is also graded at Great Falls under the pro-
visions of Chapter 19, Title 3, R.C.M. 1947. The program is operated on
a self supporting basis. Appropriations for operations are made from
fees collected. Five percent of gross revenue is deposited into the
General Fund.

Page 2.
(cont)

HORTICULTURAL INSPECTION & QUARANTINE SERVICE - The Horticultural
Inspection and Quarantine Service was established under Law 3-109.1
R.C.M. 1047. The purpose of the Horticulture program is to enforce the
laws of the State of Montana relative to the grading and marketing of
vegetables and nursery stock, control and destruction of insect pests,
and the licensing of persons engaged in the business of selling or im-
porting fruits, trees, plants, or nursery stock. This program is supported
by appropriations from the General Fund and Highway Account of the Ear-
marked Revenue Fund and some inspection fees are charged.

MARKETING COORDINATOR - This program established by the 1969 Legis-
lature (Section 3-116, R.C.M. 1947) Created the position of Agricultural
Marketing Coordinator under the supervision of the Commissioner of Agri-
culture. The Marketing Coordinator coordinates marketing from initial
producer to consumer to reduce marketing costs by way of securing a means
of more efficiently marketing products. The coordinator develops new and
improved systems of marketing to stabilize and improve returns for in-
dustry and producer. This includes coordinating work with local, state
and national planning groups in helping to identify major needs as well,
as gathering and dissmenating information concerning supply, demand,
favorable marketing information, prevailing prices and changes in market-
ing movements, practices and rates. This program is supported by monies
from General and Matching Funds.

MONTANA REAL ESTATE COMMISSION - The status relating to the opera-
tions of the Montana Real Estate Commission are contained in Sections
66-1924 through 66-1946, and in Sections 67-2101 through 21-2136, R.C.M.
1947. The provisions of the Real Estate Licensing Act includes procedures
for application, qualification, bonding, licensing, supervision and regu-
lation of real estat brokers and salesmen. The provisions of the Subdivision
Act provides for the registration of intrastate land offered for sale out of
state. The provisions of the Foreign Land Sales Practices Act provide for
the registration of all land situated out of state offered for sale in
Montana. Funding is through Earmarked Revenue.

WEIGHTS & MEASURES - The Weights and Measures program is charged by
law (Section 90-125, R.C.M. 1947) to test all weighing and measuring devices
used for buying and selling commodities in this state. This includes such
items as balances, scales, petroleum meters and containers. In addition,
quantity control of pre-packaged items and quality control of petroleum
products are under the supervision of this program. The program is basically
supported by a General Fund appropriation. All fees collected under the
laws administered by this program are deposited into the state's General
Fund, with the exception of reimbursement for special inspections. Special
inspection charges are deposited into the Revolving Fund, Agriculture
Department Account.

WHEAT RESEARCH & MARKETING - The Wlieat Research and Marketing Division
established under Section 3-2901 R.C.M. 1947 provides benefits to the
people of the State of Montana by encouraging and promoting intensive
scientific and practical research into all phases of wheat culture, pro-
duction, and the development of markets for wheat grown in Montana. It is
supported by Earmarked Revenue Funds.

Page 3.

PRINCIPAL GOALS

Structure the Department of Agriculture to meet the needs of
the people; inform and invite the agri-business sector to participate
in agricultural seminars; encourage farm organizations and Ad-Hoc
committees to aid in agricultural oriented programs; and increased
effeciency of departmental operations will result in increased services
and reduced costs.

* Better systems for delivery of services and communications.

* Greater control over internal structure to perpetuate and
assign authority and accountability.

* Coordinate activities for community development and involve-
ment.

* Leadership through sound management principles.

Page 4.

liAJOR ACCOMPLISHMENTS SUMMARIZED
PRIORITY DESCRIPTION PROGRAM

1. Better systems of services and Administration

regulatory functions were implemented.

2. Lowering of freight rates was acc-
omplished by using data from a manual
published "Modes and Direction of Agricultural
Montana Grain Shipments." Marketing Coordinator

3. Assisting Montana Agriculture resulted Agricultural

in reduction of Conserving Base Acreages Statistics and
thus increasing planted acres in Montana .Marketing Coordinator

4. Insured that feeds and fertilizers Feed & Fertilizer

manufactured in Montana meet spec- Division
ifications of state feed & fertilizer laws.

5. Provided unbiased services for grading

of grains, protein & sedimentation tests

and weighing services on carload lots. Grain Laboratory

6. Assisted and inspected fruit, vegetable,

cherry, potatoe crops and packaging pro- Horticulture
cedures; maintained excellent relation Division
ships with the trade and carried out a
barberry eradication program with the U.S.D.A.

MAJOR ACCOMPLISHMENTS DESCRIBED

1. Services and Regualtory Program, Administration.

Through receding of reports and coordinating regulatory services
performed, control over violations and expedience was implemented.

2. Reduction of freight rates in Montana .

Publishing of "Modes and Direction of Montana Grain Shipments" ,
study was used and presented to railroad and rate officials, in order
to bring about rail rate reductions on July 1, 1971.

3. Conserving Base Acreage Reduction.

Decreasing the amount of acreage in conserving base, resulted in
an increase of acreage planted in Montana.

4. Feed and Fertilizer Program.

Insured that commercial feeds and fertilizers offered for sale in
Montana, are labeled in a factual and informative manner and that the
products meet guarantees made by the manufactures.

Page 4.
(cont)

Page 2. MAJOR ACCOMPLISHMENTS DESCRIBED

5. Grain Grading Program.

Provided official, unbiased services of grain grading, protein
testing and sedimentation tests for the grain industry, in-order-
to determine market value and settlement price between producer
and seller. In addition, official weighing services on carloads
of grain resulted in accurate weights.

6 . Horticultural Inspection Services, Cooperative Program.

A highly successful potatoe and cherry inspection service was
performed by experienced fieldmen, thus resulting in no shipping
point reversals and an excellent trade relationship. Also, an
eradication of barberry bushes program was implemented in cooperation
with USDA officials, which resulted in an estimated savings to
Montana farmers and ranchers of $250,000,00.

Page 5.

MAJOR RECOMMENDATIONS SUMMARIZED

PRIORITY RECOMMENDATION PROGRAM

1^ Centralize control and implementation

of departmental programs. Administration

2. Secure legislation to establish legal

controls over all agricultural laws. Administration

3. Continue publishing Montana Agriculture

statistics to keep farmers and ranchers
informed on acreage and livestock pro-
duction estimates. Marketing Coordinator

q._ Secure legislation to upgrade the dairy

and egg laws, and recommend developing
a universal egg seal. Dairy and Egg

MAJOR RECOMMENDATIONS DESCRIBED

1. Consolidate and improve program systems implemented.

To serve the public in the best possible manner and keep them
informed, controls over departmental programs must be supervised
at top levels of government.

2. To protect consumers and producers of Montana Agriculture Products.

Old agricultural laws must be reviewed and new legislation may be
implemented to protect the public from out-of-state violators and
intrastate violations of our agricultural laws.

3. To keep the public informed on agriculture production.

The agricultural statistical manual is published biennually and
current costs of the program must be continued; in-order-to release
statistical data which is factual, informative and economically
important to all Montana.

4. Rewrite the dairy and egg laws to replace antiquated laws.

Secured legislation to upgrade the dairy laws and continued upgrading
the grade "B" dairies to improve milk quality. In addition, a new
universal egg seal in recommended to replace present seals of
different sizes and grades.

Pag...- o.

PROGRAM -- ADMINISTRATION

GOAL

Re-aligning and planning administrative functions to objectively
improve and coordinate the activities of all personnel; through sound
management principles, guidance, training, orientation, communication
and distribution of agricultural information.

Assert greater controls over the internal structure of the depart
ment to perpetuate and assign authority and accountability.

OBJECTIVES

Bring agr'iculture closer to the people by better systems of
delivery of services and increase and improve regulatory functions
of the department.

Simplify program coordination by better management principles.

ACHIEVEMENTS

Better communication systems were implemented through cooperaLivii
meetings and greater understanding of public needs. In addition, studies
of departmental functions was intiated to keep abreast of costs and
increase efficiency of operations.

PERFORMANCE INDICATORS; FISCAL YEAR , .

1968-1969 1969-1970 1970-1971

COST: $61,656 $74,075 $85,949

PERFORMANCE :

Correspondence (estimated) 456

Meetings Attended 55

Literature distrubuted 84

Phone Calls (out of state) 35

Seed and Grain Inspections

Seed lots Inspected 462

Lots in Violation Seed Laws 12

Labeling Requirements Correct

in all labeling respects (%) 97.4

Medicated Feed Plant Inspected 10

Grain trucks inspected-Estimate 52

Grain Elevators Inspected 330

Page 7,
PROGRAM -- AGRICULTURAL MARKETING COORDINATOR

GOALS AND OBJECTIVES:

To identify major needs in the agricultural marketing system
for Montana products. Perform necessary research of such problems
in order to develop programs directed toward a solution of these
needs.

To develop sources of and disseminate specialized information
relating to supply-demand conditions, prices, transportation costs,
and structural changes in the marketing system.

Establish programs for new market development, existing market
expansion, and marketing cost reductions to assist producers and
distributors in the economical, efficient distribution of Montana
agricultural products at equitable prices.

ACHIEVE^ENTS

Results of the "Mode and Direction of Montana Grain Shipments"
study were published and distributed. Information outlined in the
publication was presented to railroad pricing officials and was
instrumental in rate reductions implemented July 1, 1971 by the
Burlington Northern and Milwaukee roads. The estimated benefit to
Montana growers and shippers resulting from these reductions range
from $1.5 to $2.8 million a year.

Information relating to quantities and sources of origin of
truck shipments was presented to Port of Lewiston , Idaho representa-
tives. The information will be considered in developing the facilities
at the new port in-order to most effectively serve Montana interests.
Barge transportation alternatives will be of real benefit to our
grain sector.

Results from the project also provide data components used in
estimating proportions of Montana grain entering export channels.
This has proven to be of value in discussions with Asian trade teams
during the past year.

Marketing information relating to wheat quality, wheat variety,
and cattle movement was compiled and published. A substantial portion
of Montana's wheat production moves to the export market in which a
primary competitive advantage is availability of protein and grade
data. In the absence of this project Montana would have been at a
competitive disadvantage in securing it's foreign market share.

Variety data generated from this project served two important
functions; first it provides all buyers with objective information
to be used in conjunction with related quality factors. Secondly, it
serves as a management aid to producers by depicting rate of acceptance,
trends, and geographic capabilities of varieties.

Page 7.
(cont)

Cattle movement figures proved useful in efforts by a number of
interests to expand Montana's cattle feeding industry. It served as
base data in general lot location decisions. It also aided local
marketing association to determine in which states their promotion
efforts should be directed to achieve the greatest economic benefits.

Formal written testimony was presented before the Interstate
Commerce Commission representing the Montana Department of Agri-
culture in protesting rail rate increases (Ex-Parte # 267) . Testimony
representing the department also was submitted to the Montana Railroad
and Public Service Commission in two intrastate rail rate proceedings.

PERFORMANCE INDICATORS:

Fiscal Year

1968-69 1969-70 1970-71

Cost $ 0.00 $4,769.00 $9,477.9!

Performance

Market Research - 0 - 4 9

Projects

Publications - 0 - 3 5

Page 8,

PROGRAM — AGRICULTURAL STATISTICS

GOALS

To collect, prepare and publish county agricultural statistics
for Montana and to assist in the collection of selected agricultural
statistics on a state-wide basis.

OBJECTIVE

Investigate needs for new or improved agricultural statistics for
Montana on a state or county basis. Data are collected in conduction
with USDA surveys and/or special surveys through a cooperative agreement
between the Montana Department of Agriculture and the Statisical Report-
ing Service, United States Department of Agriculture.

ACHIEVEMENTS

A publication, MONTANA AGRICULTURAL STATISTICS, Volume XIII,
was published, which included county statistics developed under the
cooperative program together with statistics from regular USDA sources,
and statistics developed through special matched- funds projects. This
publication pulls together in one volume most required and used stat-
istics relating to Montana agriculture in one easy to use reference,
Coianty crop statistics for Montana include acreages, yield per acre, and
production and are broken down separately for crops grown under irri-
gation and for those not irrigated. These data have proved useful to
people in research, farm organizations and firms looking to Montana for
location of agricultural related industries. The livestock county
statistics in this program have a wide use, particularily this past
year, by persons researching the location of new feed lots in Montana
and potential for other livestock enterprises.

Information on grain stocks in commercial elevators reported to
the Montana department of agriculture in connection with bonding re
quirements are used to develop quarterly stocks of grain in commerci;i
facilities. These data are used ±n lieu of separated surveys.

PERTORMANCE INDICATORS

COST:
PERFORMANCE:

.FISCAL YEAR,

1968-1969
$26,492

Montana Agricultural Statistics
(Published Biennially)

Grain Stocks, Quarterly

Dairy, Manufactured Products,
(Published Monthly)

1969-1970 1970-1971
$27,135 $26,292
PUBLICATIONS: (1970-1971)

3,839
3,557

11,01+0

Page 9

PROGRAM — DAIRY AND EGG DIVISION

GOALS AND OBJECTIVES — DAIRY

Increase inspection frequency of dairy and dairy plant products,
butterfat tests, checking weights on frozen desserts and conduct tests
to license butterfat testers, cream and milk graders, samplers and
haulers.

GOALS AND OBJECTIVES — EGG

Develop a universal egg seal which will replace present seals of
different sizes and grades. Make candlers examinations more meaningful
by testing more fully the applicants knowledge of candling procedures.

ACHIEVEMENTS

Re-write and upgraded the dairy and egg laws, in-order-to replace
antiquated laws.

Designed a new multi-purpose license and companion application,
whereby one license will suffice to license one or more manufactured
dairy product operation.

Discontinued costly operation of selling egg seals in the field
by fieldmen.

Improved weekly report form using a coding system of reporting.

Began writing proposed regulations for adoption under new law
which was introduced as Hole e Bill 249.

Increase frequency of grade B dairy farm inspection on unofficial
basis and increased frequency of grade B milk sampling and analysis.

Obtained USDA certification of fieldmen to perform poultry and
shell egg inspection rather than to have only one certified inspector.

Began wi'iting a standard procedural for those engaged in milk
sampling (Licenses now are issued to those sampling milk without quali-
fication and/or examination — we feel that this system should be
changed) .

PERFORMANCE INDICATORS

COST:

PERFORMANCE:

Inspections

Seals, Stores & visits

Cheese plants

Creameries

Dairies

Eggs (cases)

Ice Cream Factories

1968-69
$70,190

Number

1905

6

30

357

979
239

.FISCAL YEAR
1969-70

$64,535

1970-71
$68,049

Scoring & Grading Nujnber

Butter 57

Cheese-Cheddar 22

Cheese-Cottage 57

Eggs (Fair)-(Doz) 85

Frozen Dessert 119

Whey Powder 4

Milk Powder 28

Buttermilk 35

Page 9,
(cont)

PROGRAM — DAIRY AND EGG DIVISION
Page 2

PERFORMANCE CONTINUED:

Samples (Bacteriological)
Butter

Cheese (Scoring Only)
Frozen Dessert
Mix
Milk

133

51

605

264

1151

Fat Tests

Butter

Cream

Frozen Desserts

Mix.

Milk

242
11

200

11

1181

Solids Tested
Butter

Frozen Desserts
Mix
Milk

41

45

2

79

Moisture Tests
Butter
Oleomargarine

Weights -Volume

Butter (pounds)

Cream

Frozen Dessert (gallons)

Mix

18

275

392

175

292

2

Examinations

Butterfat Tester Licenses
Weighers, graders, samplers
Milk haulers
Egg Candler-grader

License

5

7

1

11

DESCRIPTION:

NO.

AMOUNT

Babcock

12

$

60.00

Babcock renewal

74

222.00

Cream Graders

94

470.00

Egg dealers (retail)

256

1270.00

Egg dealers (Wholesa

le)

47

2350.00

Cream Station

12

155.00

Manufacturing

478

8905.00

Oleomargarine

52

1040.00

Cream Haulers

41

205.00

Egg Graders

112

560.00

Wholesalers, Butter

and

Cheese 76

1520.00

Page 9.
(cont)

PROGRAM -- DAIRY AND EGG DIVISION
Page 3

PERFORMANCE INDICATORS CONTINUED:

License

DESCRIPTION

Hatcheries

Poult & Chicken Dealers

Hatching Egg Producer

Revolving Fund

Seals

Imprints

Postage

Survey, Grading, Inspections

NO.

4

13

6

AMOUNT

70.

,00

65.

,00

38.

.50

$ 16,930.50

4,037.45

8,882.00

170.07

259.62

13,349.14

Page 10.

PROGRAM — FEED AND FERTILIZER

GOAL

Upgrade analytical laboratory procedures on chemical analysis
of official samples obtained for feed and fertilizer, in order to
determine if manufactures gtiarantees are met.

OBJECTIVES

To continue surveilance on manufactured processes, so errors
in techniques may be pointed out to management which may adversely
effect product quality.

ACHIEVEMENTS

Greater emphasis was applied to inspection of plants and a
better balance of sampling was achieved by fieldmen, as fertilizer
sampling was increased and feed sampling reduced to balance out the
number acquired for laboratory analysis and equalize services to
the trade.

Greater enforcement of the feed and fertilizer laws was im-
plemented to see that labeling requirements were met and manufact-
ered products meet the guarantees made by the manufacturers.

PERFORMANCE INDICATORS FISCAL YEAR...

1968-1969 1969-1970 1970-1971

COST: $50,956 $68,219 $77,979 *

PERFORMANCE :

Inspection of Retail and Manufacturing Outlets Data:

Commercial Feed Samples No. of Feeds Registered Firms - Gross Sales
Taken ~ 506 Registered — 1626 Reports — 382

Estimated Dollars (Feed) Commercial Fertilizer Samples Approximate
Received — $34,000,000 Taken -- 619 Retail Sales Outletc

Number — 400
Number of Fertilizer Blender Plants
Registered — 452 Licensed -- 43

Laboratory Analysis:

Individual Analysis Deficiencies Found
Feed: 5935 383

Fertilizer: 1980 108

* $32.00 - Coded to Administration on June 30, 1971 - Budget Status Report.

Page 11.

PROGRi\M — GRAIN LABORATORIES

GOALS

Provide data on quality Montana gruin and assist in the development
of markets for grain.

OBJECTIVE

To continue services for the grain industry and adjust the services
performed to the changing market patterns.

To co-operate v\/ith producers and consumers , by devising and main-
taining economical and efficient systems of servicing the grain trade.

ACHIEVEMENTS

Provided official, unbiased services of grain grading, protein
testing and sedimentation tests for the grain industry in-order-to
determine market values and settlement prices between producer and
seller. In addition, official weighing services on carload lots of
grain were performed to insure accurate weights.

Supplied a color coded sample bag to the grain trade, in-order-to
speed services on samples obtained from box cars of grain sampled at
the origin. The trade is well pleased with this added service.

PERFORMANCE INDICATORS:

COST:

PERFORMANCE :

1968-1969

$226,649

Box Car Inspections

Submitted Sample Inspections

Protein Tests (Carloads)

Protein Tests (Submitted Samples)

Malting Barley Analysis

Sedimentation Tests

Carloads Weighed

.FISCAL YEAR.
1969-1970

$217,367

QUANTITY:

20,769
11,255
16,363
19,356

4,928
46

9,957

1970-1971

$217,576

Page 12.
PROGRAM — HORTICULTURAL INSPECTION AND QUARAl>iTINE SERVICES

GOAL

Assist and serve consumers, buyers and sellers of produce, nursery
stock and beans.

OBJECTIVES

Enlarge upon and maintain programs with other agencies, in order
to assign multiple inspection duties to field inspectors; which in turn
will continue professional services and retain the expertise necessary
to serve the trade.

ACHIEVEMENTS

A hi^ly successful potatoe and cherry inspection packing season
was implemented, which resulted in no shipping point reversals and an
excellent relationship with the trade.

The eradication of fifty (50) barberry bushes , resulted in an es-
timated savings to Montana agriculture of two million five hundered
thousand dollars. One barberry bush could cause fifty thousand dollars
in rust damage.

PERFORMANCE INDICATORS ...... .FISCAL YEAR

1968-1969 1959-1970 1970-1971

Cost: $154,049 $149,881 $147,114

Performance : Numbers :

Packaged Fruits & Vegetables

Conditioned and Condemned 13,101

Office and Field Inspections 13,746

Inspection Certificates Issued

Fruits and Vegetables 3,446

Nursery Stock Inspected 1,481,751

Nursery Stock Condemned or Destroyed 689

Home Grown Fruits & Vegetables Inspected (Carload Lots) - Rail-Truck-Total

965^ 1,894 2,859%
Imported Fruits and Vegetables Inspected (Carload Lots) •- Rail-Truck-Total

54% 5,642 5,696%

Packaged Fruits and Vegetables Inspected Imported — Home Grown

2,650,693 1,243,873

Office Data:

Letters, Circulars, Bulletins, Phone Calls, Meetings Attended — Total

3,491— 1,425 737 11 5,654

Inspector's Data:

Letters Answered, Phone Calls, Meetings Attended — Total

3,696 5331 56 .— 9,083

Page i:

ANALYSIS OF PROGRAMS

WEIGHTS AND MEASURES

OBJECTIVES

Our goal is to see that buyer and seller, and recipients
of services receive just rewards for amounts produced, purchased, or
sold.

A study will be made on the possibility of selective test
ing of devices. Hopefully, placing more responsibility for accuracy
on the owners. Due to the lack of funds and personnel, it has been
impossible to test all devices annually.

OBLIGATIONS

The Division of Weights and Measures is required to ins-
pect and test once each year or as often as may be deemed necessary to
ascertain if they are correct all weights and measures as well as all
weighing devices (Section 90-162). It is also the duty of the Divisio.'
of Weights and Measures to exercise quantity control of prepacked ccai--
modities (Section 90-164).

Each petroleum dealer in the State of Montana or dealer
doing business in the state, must secure a license which is issued by
the Division of Weights and Measures (Section 60-224),

ACHIEVEMENTS

A special school was conducted by the National Bureau of
Standards for the inspectors of Montana and Vtyoming. Material covered
was quantity control of prepackaged products, liquids and solids, and
the uniform testing procedures on new devices.

PERFORMANCE

Fiscal Year......

1968-69 1969-70 1970-71

COST $113,909 $122,956 $139,340

Page 13.
(cont)

SERVICES PROVIDED (1970-71)

6147 Scales were tested and 375 rejected

512it Retail Pumps were tested and 67 rejected

950 Wholesale Meters were tested and U7 rejected

292 Liquefied Petroleum Meters were tested and 25 rejected

8058 Packages were checked and 1522 rejected

12 Provers were calibrated

1 Tank was calibrated

5 Milk Tanks were calibrated

20 Measures were calibrated

1035 Weights were calibrated

1 Dolly was calibrated

Petroleum License Fees deposited $33,471.00

Regular Scale Fees deposited 30,523.73

Special Scale Fees deposited 8,618.05

Accounts Receivable regular certificates 4,216.25

Accounts Receivable Special certificates 2,186.65

Miles traveled by inspectors 129,437

Page 14.

PROGRAM — WHEAT RESEARCH AND MARKETING

GOAL

To enhance the understanding of grain farming problems and
encourage corrective measures through education, cooperation,
communication and unification of programs.

To increase Montana's participation in maintaining and develop-
ing both foreign and domestic markets for state produced grain.

To obtain equitable freight rates in Montana for transporting
grain to markets.

OBJECTIVES

Expand past and present priorities with expetation of increased
availability of working capital obtained through wheat assessment
funds, which were increased by an act of legislation.

ACHIEVEMENTS

Coordinated efforts with the statistical reporting service and
the Montana department of agriculture made possible several work
projects, which resulted in quality reports on future crops; market-
ing of Montana's large wheat crop; and aided in developing statistical
reports on seeded wheat varieties, wheat stocks and crop estimates.

Prepared and executed the plans necessary to change from voluntary
to automatic collection of the one-quarter cent per bushel assessment
on wheat.

Increased public relations efforts, which resulted in establish-
ing wheat day at the state fair in Great Falls; aided a 4-H scholar-
ship program; increased friendly relations with foreign diplomats for
purchases of Montana wheat; and officially observed the national day
of bread.

Expanded role with Western Wheat Associates, foreign market
development affiliation; by acquiring a full component of four (4)
members on the governing board of directors.

PERFORMANCE INDICATORS

COST:

PERFORMANCE:

Public Relation Associates

Newsletter

Wheat and Wheat Foods

Travel

Printing

Postage

Telephone

Fair Booth

4-H Scholarships

1968-1969

$79,271

FISCAL YEAR. ..

1969-1970

$118,088

Expenditures:

4,985.74
3,292.97

583.47
1,649.95

124.90

387.20

283.78

231.61

150.00

1970-1971

$108,783

PROGRAM COST SUMMARY

Page 15.

FISCAL YEAR COSTS

PROGRAM
Administration

Rural Rehabilitation
Agricultural Statistics
Commercial Feed & Fertilizer
Dairy
Grain

Horticulture
Marketing Coordinator
I Weights & Measures
Wheat Research & Marketing

TOTAL

1970-71

$ 85,949

128,090

26,292

77,979

68,049

217,576

147,114

9,478

139,341

108,783

$1,008,651

1969-70

$ 74,075

40,000

27,135

68,219

64,535

217,367

149,881

4,769

122,956

118,088

$ 887,025

Increase
(Decrease)

$ 11,874 1/

88,090 21

(843)

9,760

3,514

209

(2,767)

4,709 y

16,385 4/
(9,305)

$ 121,626

_!/ $6,336 - Included -Marketing Coordinator Expense.

2/ Increase purchase of FHA Approved Notes.

y 1970-71 represent full year of operation

Program started and staffed during 1969-70 Fiscal Year.

4/ Replace two trucks.

PROGRAM COST DETAIL

Page 15.
(cont)

PROGRAM
Administration
* Rural Rehabilitation
Agricultural Statistics

r

Conunercial Feed & Fertilizer
Dairy
Grain

Horticulture
Marketing Coordinator
Weights & Measures
^^leat Research & Marketing
TOTAL

General Fund

1970-71
TOTAL

FY

PERSONAL
SERVICES

OPERATING
EXPENSES

CAPITAL

GRANTS

$ 85,949

$

71,864

$

14,085

$ -0-

$

-0-

128,090

-0-

12

478

127,600

26,292

22,226

4,066

-0-

-0-

77,979

55,269

12,041

10,669

-0-

68,0A9

52,338

14,559

1,152

-0-

217,576

192,413

24,705

458

-0-

147,114

117,065

30,049

-0-

-0-

9,478

6,900

2,541

37

-0-

139,341

82,458

37,359

19,524

-0-

108,783

20,423

24,309

190

63,861

$ 1,008,651

)UR(

$_

620,956

1

163,726

$ 32,508

1

191,461

SC

:e

OF FUNDING

Administration

Agricultural Statistics

Dairy

Horticulture

Marketing Coordinator

Weights & Measures
Earmarked Revenue

Commercial Feed & Fertilizer

Grain
Revolving

Dairy

Weights & Measures

Wheat Research & Marketing
Federal & Private Revenue

Agricultural Statistics

Dairy

Marketing Coordinator

Federal & Private Grant Clearance

85,949
20,405
60,137

147,114
9,070

131,480

77,979
217,576

1,710

7,861

108,783

5,887

6,202

408

128,090

TOTAL

$ 1,008,651